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Board renews sole-source meter contract; staff warns of Neptune surcharge on future orders
Summary
Collierville approved a contract renewal with Consolidated Pipe and Supply for Neptune water meters; staff said meters for the AMI project were purchased before an April 2 tariff surcharge but future orders will include an 8% surcharge.
The Board of Mayor and Aldermen on April 28 approved a contract amendment and renewal with Consolidated Pipe and Supply for purchase of Neptune water meters and related equipment. John Fox, public utilities director, presented the item and explained the renewal is the second annual renewal of a sole-source contract first approved in May 2023.
Staff said Consolidated Pipe is the sole authorized distributor of Neptune Technology Group products and Neptune is the exclusive manufacturer of the town’s required meters. The town typically purchases about 2,000 meters per year to support new installations and replacements, although purchases are expected to decline following completion of the AMI meter-installation project.
Tariff surcharge: Fox said Neptune announced an 8% tariff surcharge on hardware orders placed after April 2, 2025. The surcharge reflects U.S. tariffs affecting components sourced from Mexico and China; Neptune indicated the surcharge may change if tariffs are adjusted. Fox said the town’s AMI project will not be affected because its meter orders were placed prior to April 2.
Vote: Alderman Robbins moved the approval; the roll call vote was unanimous in favor (Robbins, Hall, Jordan, Marshall, Stamps and Mayor Frasier). The motion authorizes the contract amendment and renewal under the town’s sole-source procurement authority.
